Koror, Palau – China issued a travel warning to its citizens visiting Palau, citing “frequent safety cases” for its nationals. This move follows tensions between the two nations after Palau accused China of a cyberattack in March 2024.
Palau’s government claims the attack crippled its financial system and stole over 20,000 government documents. China vehemently denies involvement.
“China would never interfere with any country’s internal affairs,” China’s foreign minister stated on June 6th. However, Palauan President Surangel Whipps Jr. voiced concerns at a press conference in Japan, expressing his belief that China will attempt to influence Palau’s upcoming election.
President Whipps detailed potential methods of interference, including “overpromising,” actions that “make us question our relationship” with Taiwan (a key Palauan ally), spreading misinformation, and bribery.
As an example, President Whipps reported that Palauan representatives attending the 2024 PATA (Pacific Asia Travel Association) Annual Summit in Macau were denied entry due to a lack of formal diplomatic relations between Palau and China.
Whipps further alleged that China’s tourism dominance in 2015 “weaponized tourism” by pre-booking rooms and driving out competitors. He emphasized the need for Palau’s tourism sector to diversify and attract visitors from other countries.
Interestingly, Chinese tourist numbers have dropped significantly, with other markets now accounting for nearly 75% of visitors in March and April 2024. Minister Charles Obichang confirmed that applications for additional flights on the Palau-Macau route are pending.
“For our own economic security, we must diversify. We cannot depend on just one market,” President Whipps concluded.